Fri Sep 13 05:57:01 UTC 2024: ## Western Carriers India IPO Opens for Subscription, Sees Sluggish Response

**Mumbai, September 13:** Western Carriers (India), a logistics company focused on rail-road multi-modal services, commenced its initial public offering (IPO) today. The book-built issue, aiming to raise ₹492.88 crore, will conclude on Wednesday, September 18.

The company had already secured ₹148 crore from anchor investors, allocating 85,96,743 shares at the upper price band of ₹172. Notable participants in the anchor book round included Kotak Mahindra, Motilal Oswal, and Aditya Birla Sun.

Despite the anchor investor interest, the first day of subscription saw a sluggish response. By 10:15 am, the IPO had only received 0.06 times subscription. The retail investor portion was subscribed 0.11 times, while the non-institutional investor category saw a mere 0.01 times subscription. The QIB segment remained untouched.

**Key IPO Details:**

* **Price band:** ₹163 to ₹172 per share
* **IPO size:** Fresh issue of 2.33 crore shares and an offer for sale (OFS) of 54 lakh shares.
* **Minimum lot size:** 87 shares, requiring a minimum investment of ₹14,964 for retail investors.
* **Listing date:** Tentatively on Monday, September 23, on BSE and NSE.

**Market Sentiment:**

The grey market premium (GMP) for the IPO currently stands at zero, indicating a flat listing expectation at ₹172. Analysts have mixed opinions on the IPO. Akriti Mehrotra of StoxBox recommends a ‘subscribe’ rating, citing the company’s growth prospects and lower valuation compared to its peers. However, Swastika Investmart suggests a ‘may apply’ rating, highlighting the company’s financial challenges and limited market interest.

**Company Overview:**

Western Carriers is a multimodal logistics company, leveraging rail-road infrastructure. The company provides customized, end-to-end services across the logistics value chain to a diverse clientele.

**Outlook:**

The company plans to utilize IPO proceeds to repay debt and fund capital expenditure, including the purchase of vehicles and equipment. Its focus on value-added services, technology, and expansion in project logistics positions it to capitalize on the growing rail-road multi-modal sector, estimated to reach ₹4,667 billion by FY29.

**Disclaimer:**

This article presents information from various sources. Investors are advised to consult financial experts before making any investment decisions.

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